ELHQ & Co Solicitors

1 Executive Summary

This business plan introduces ELHQ Solicitors and sets out ELHQ Solicitors purpose, vision and means of operation.

ELHQ will have its registered office at 1 Percy Place, Dublin 2, Dublin and will open and operate from 1 January 2022. The founding partners are Eddie Hynes, Conor Quane, Kieran Lardner, and Samuel Elliott (each a “Partner” and together the “Partners”).

We aim to establish ELHQ Solicitors as a dynamic, innovative law firm which will target companies and other commercial bodies (eg, accountancy firms, professional services firms, and funds) operating in and through Ireland. ELHQ Solicitors will provide comprehensive legal advice for its clients.

ELHQ Solicitors’ office will be located in Dublin 2, given the convenience to the firm’s primary clients in the corporate sector. The office is equipped to support flexible working with shared spaces and facilitates “hot-desking”, and contains all necessary amenities including a connection to high-speed broadband..

Given the shift in the Irish workforce to a flexible, work from home model of employment, ELHQ Solicitors’ business will be fully flexible and all employees will be encouraged to work remotely. ELHQ Solicitors plans to employ a team of legal professional assistants, trained in secretarial skills, and a bookkeeper.

ELHQ Solicitors’ core values are Innovation, Partnership, Entrepreneurship, Respect and Diversity.

The Partners considered the alternative LLP structure but decided that a traditional partnership was the best option for ELHQ Solicitors at this time. Eddie Hynes will serve as managing partner. Together the Partners have considerable experience with commercial law.

ELHQ Solicitors will be funded by capital contribution as well as a loan procured from a bank providing a favourable rate. Given ELHQ Solicitors’ target clientele, it will provide competitive fees facilitated by the use of various innovative legal tools, including modern software platforms and legal AI.

The Partners have decided [to / not to] purchase [files]. The majority of the files fall outside the scope of practice of ELHQ and contain a number of ethical and professional conduct issues.

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1.1 About

Please see our Website for more info

Please look at this bold text

Insert office blurb below before map picture

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  add_traffic()
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# locus = c(lon = -6.239605848032218, lat = 53.337306116946785)

# myMap <- get_map(location=locus, zoom= 18, source="google", 
 #                maptype="roadmap", crop=TRUE)

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2 Overview of the Firm

2.1 Mission Statement

At ELHQ Solicitors, we aim to provide the highest standard of legal advice and legal services to our clients, reflective of their commercial situation and their specific needs, in a timely manner and at a competitive rate that is fair to both our clients and our firm. We aim to provide an integrated service that closely aligns with our clients’ values and their unique needs.

We fulfil our mission through implementing our core values to provide a high level of service for commercial companies and service providers in Ireland.

2.2 Core Values

Innovation

Through our use of new, dynamic legal practices and technology, we seek better ways to work and create value for our client base.

Partnership

We are a partnership, both with our clients and within our firm. We place an emphasis the value of teamwork and collaboration in all of our dealings with clients.

Entrepreneurship

We aim to be a dynamic, flexible firm at the forefront of legal practice in Ireland.

Respect

Respect for our clients and respect for each other is at the core of how we operate as a firm. We aim to treat each other with respect, and to ensure that our firm is a welcoming place for all.

Diversity

We believe our strongest asset is our diversity: diversity of experience, diversity of background, and diversity of class, economic status, race, and gender.

2.3 Firm Description

The firm was founded in 2021 and specializes in Corporate Law. Our team has proven experience acting for clients in the following sectors:

  • Banking
  • Finance
  • Tax
  • Litigation
  • Corporate
  • Real Estate
  • Construction
  • Litigation
  • Employment
  • Data Protection
  • Intellectual Property

2.4 Targets

ELHQ Solicitors’ targets are:

  • To establish and maintain a profitable law firm in Dublin.
  • To cultivate a loyal client base in the commercial sector; and
  • To operate a business model that fully reflects our values and that is prepared to meet unexpected challenges

2.5 Vendor Firm

Having analysed the files of Vendor Firm, ELHQ have decided [to / not to] purchase the files. [Rationale for decision].

An in-depth analysis of these files is discussed at paragraph

3 Management Plan

3.1 General Management

The Partners are equal partners with equal voting rights. In keeping with ELHQ Solicitors’ image as a market leading firm, the Partners have appointed Eddie Hynes as managing partner. However, a management committee will be formed and any significant decisions will be taken by the Partners collectively.

The Partners will have monthly meetings where they will report any issues or concerns, discuss ELHQ Solicitors’ progress and take any decisions as necessary.

The Partners considered the alternative structure of an LLP, but decided that a traditional partnership was the best option for ELHQ Solicitors’ at this time given the legal certainty that the established structure offers.

3.2 Partnership Agreement

While there is no requirement that partnership arrangements must be in writing, the Partners have agreed that certain provisions of the Partnership Act, 1890 (the “1890 Act”) are not appropriate for the modern management structure that is envisaged by ELHQ Solicitors.

As a result, the Partners have agreed to enter into a formal written partnership agreement (the “Partnership Agreement”) in order to override certain default provisions in the 1890 Act.

In particular, the Partnership Agreement will address the financial rights of the partners, remuneration, partnership property and dissolution of partnership. 

The Partners will draft the Partnership Agreement in an effort to reduce costs.

An outline of the clauses which will be included in the Partnership Agreement is attached at Appendix 1

3.3 Partner Profiles

3.3.1 Edward Hynes

Pineapple

  • Edward Hynes graduated from University College Cork in 2012, having studied Law and French.

  • Edward then went on to attain a Masters in Asset Management from Queen’s University Belfast in 2013.

  • Edward was admitted to the roll of solicitors in 2017.

  • Since qualification, Edward has regularly advised on corporate reorganisations, shareholder agreements and other commercial arrangements and contracts including agency/franchise/distribution agreements.

  • Edward continues to advise a large number of international and Irish-based corporate clients, family-owned businesses and start-ups.

3.3.2 Samuel Elliot

Pineapple

  • Samuel Elliott graduated from Dublin City University in 2015, having studied Law.

  • Samuel then went on to attain an LLM in European Law from the London School of Economics in 2017.

  • He has previously completed internships with with Judge Elizabeth Dunne of the Supreme Court, aircraft lessor CIT, and his training firm Matheson.

  • He has extensive knowledge of commercial law, having previously advised large multinational clients on their restructuring and establishment activities in Ireland.

  • He has also completed seats in Matheson’s Construction, Litigation, and Entertainment teams.

3.3.3 Conor Quane

  • Conor Quane graduated with a degree in law from the University of Oxford in 2012, and went on to complete an LLM at Harvard Law School the following year.

  • After a two year spell volunteering in a number of refugee camps around the globe, Conor returned to Ireland permanently in 2015 to begin a traineeship with Arthur Cox LLP.

  • He was admitted to the roll of solicitors in 2017.

  • Since then, Conor has advised extensively on domestic and international M&A and financing transactions.

  • His clients have included a large number of major multinational companies and state authorities.

3.3.4 Kieran Lardner

  • Kieran Lardner graduated from University College Dublin in 2013, having studied Business and Law.

  • Kieran completed a three year Masters in Data Analytics in University College Dublin in 2016.

  • Kieran holds the following professional diplomas: Technology & IP Law, Sports Law & Commercial Mediation.

  • Kieran completed his training contract with McCann Fitzgerald, completing two seats in Mergers & Acquisitions along with a seat in Finance and a seat in Employment.

  • Kieran worked with the Legal Technology team during his traineeship, focusing on using analytics to aid decision making and automation to improve firm processes.

  • Kieran qualified as a solicitor in 2017 and has spent three years working with the firms corporate department, advising large multinational clients on commercial agreements, mergers and corporate restructuring.

3.4 Background and Experience

3.5 Strengths and Weaknesses

3.6 Management Structure

3.7 Decision Making Process

3.8 Employee financials

3.9 Staffing plan

3.10 Scaling

4 Operations

4.1 Premises & Equipment

4.1.1 The Location

ELHQ Solicitors has decided to lease an office space at 1 Percy Place, Dublin 2 for a variety of reasons. As previously discussed, situating the office in the heart of Dublin City will provide the most convenient access to aspiring startup businesses as well as international clients who are looking to establish themselves in Dublin. An office space in Dublin City Centre will also provide the Firm with access to the Four Courts and is well-connected to public transport which will allow for ease of access for staff and clients alike. Dublin 2 is perfectly situated in terms of business support services, such as accounting firms and auditors.

ELHQ Solicitors has decided to enter into a five-year term lease of premises of 1 Percy Place, Dublin 2. Conor Quane, Partner, contacted the commercial leasing department at GSP Lettings in search of a suitable office space. GSP Lettings provided a quotation for an office situated at 1 Percy Place for an annual fee of €39,000 (exclusive of utility bills), resulting in a monthly expense of €3,250. Despite the requisite amount being slightly above the Partner’s anticipated budget for office letting, it was agreed to lease this office space as there were multiple advantages of doing so.

4.1.2 The Space

The office space itself is spacious and comes fully serviced and furnished. It has a floor area of over 1,642 square feet and comprises 2 offices, a boardroom, a private meeting room, toilet facilities and a reception area. There is also a kitchenette which includes a fridge, dishwasher and tea/coffee making facilities. On the ground floor of Watkins House, there is another reception area that is shared with the other offices in the building.

4.1.3 Equipment

The office is fully equipped with desks, chairs, furniture and filing space. Conor Quane has been designated as the Partner responsible for office management. ELHQ has opened an account with Premier Stationery, an office supplies company, who will supply the Firm with all its required stationery and office equipment.

As regards the space itself, there are two offices which comfortably seat two people each. Each office has two adjustable desks, two swivel chairs and four filing cabinets. These filing cabinets are highly secure and ideally suitable for the storage of Deeds, security and title documents and other highly classified documents.

In the Boardroom there is a large table with eight chairs and the room has floor to ceiling windows for maximum natural light exposure. The private meeting room has a round table ideal for client consultations and a large rectangular window which looks out over St Stephen’s Green.

The Partners also will purchase stackable chairs for in-house CPD lectures and other social in-office events.

4.2 Technology Requirements

4.2.1 Software and Hardware

The office at 1 Percy Place , Dublin 2 is fully connected to high-speed broadband and telephone lines and so there is no expense involved for ELHQ in this regard. ELHQ has engaged with Safe Wire Limited who will be responsible for all of the Firm’s IT requirements. ELHQ intend on signing a Services Agreement with Safe Wire Limited in respect of the Firm’s entire IT infrastructure. Safe Wire Limited have agreed to provide all the required services required by ELHQ including network security, required software, product-system integration and general IT support and maintenance. This will cost ELHQ an estimated €9,750 per annum.

Covid-19 has highlighted the necessity to work from home efficiently and flexibly. With this in mind, the Partners will each receive a laptop that will allow the Partners to work remotely and, when needed, from home so that ELHQ will always be best placed to properly serve our clients regardless of any unforeseen circumstances. The Firm has decided to purchase four Dell laptops at a price of €459 each (€1,836 overall). The Firm has also decided to purchase four desktop computer units for the use of future support staff at a cost of €300 each (€1,200 overall). As part of its Service Agreement, Safe Wire Limited will be responsible for setting up and maintaining these computers.

4.2.2 Case Management System

ELHQ Solicitors has decided to use Legal Partner as its case management software. Safe Wire Limited has previously worked with several law firms who also used Legal Partner and therefore Safe Wire are well versed in this particular case management system. The Partners in ELHQ, having explored several options for a case management system and have opted for Legal Partner as it is ideally suited for commercial law firms in its makeup and it also provides a three month trial version of the software, which will save the firm €2,000 in Year 1. Therefore, in the first year ELHQ will pay €6,000 for the use of Legal Partner and €8,000 per annum thereafter.

4.3 Client Management System

The firm has developed an application in house to help keep track of key information about each of it’s client’s. We believe this will improve productivity across the firm and ultimately deliver a more cost-efficient and effective service to our clients. This includes information such as:

4.3.1 Key info about the client

Key information about that employees may regularly need to input on forms or access

Key Info

4.3.2 Group Structure Charts

Easy access to group structure charts designed by our Legal Tech team will help our Corporate Team as they seek to advise on complex restructurings etc. (rephrase)

Group Structure Charts

4.3.3 Information to aid drafting

Employees will be able to quickly access common pieces of information that are regularly included in documents we draft. This can then be easily downloaded, coverted to a pdf or copied, so that the employee can quickly update their documents.

Drafting info

4.3.4 Statistics

Our legal tech team has written code to automate the process of producing visualizations and summary statistics across a number of key metrics.

Sample Billing info visualizations

4.4 PLACEHOLDER

KL to expand section. Layout chart for office. trainee rotation. finish app demo. document generator maybe?

4.5 Human Resources

4.5.1 Recruitment

It is expected that initially recruitment will be kept to a minimum. However, as ELHQ develops, consideration will be given to expanding support staff and fee earners. In line with our core values, our recruitment process will focus on attracting diverse, talented and motivated candidates.

ELHQ has allocated a number of roles to our founding Partners who have corresponding qualifications suitable to those positions. Where required, ELHQ will fund appropriate courses to assist those Partners and ensure the welfare of our employees.

ELHQ plans to employ one legal secretary and bookkeeper initially, details of which are set out at 8.1.1 and 8.1.2. These positions will be advertised on the law society website and through recruitment websites such as irishjobs.ie. All partners will be consulted and involved in any direct hiring into the firm through the interview process.

4.5.1.2 Book-keeper

A part-time bookkeeper will be required by ELHQ to maintain the financial records of the firm and assist with payroll and the annual budget. ELHQ have decided to outsource the bookkeeping requirements to SME accountants who specialise in bookkeeping and accounting for small and medium businesses. They offer an initial six-month accountancy service for €294 based on €49 a month. Our initial contract with them will be for one year.

4.5.1.3 Company Secretarial

Conor Quane will act as Company Secretary for ELHQ. Conor Quane holds a certificate in Company Secretarial Law and Practice from the Law Society.

4.5.1.4 Compliance and Data Protection Officer

Kieran Lardner will act as the Data Protection and Compliance Officer for ELHQ. Kieran Lardner holds a certificate in Data Protection Practice from the Law Society and CIPP/E and CIPM certifications.

KL - Check what the name of that cert was again. Add references to your cert & Conors cert to the partner’s profile section at the top.

4.5.1.5 Human Resources Manager

Kieran Lardner will act as the Human Resources Manager. S/he will be responsible for the recruitment, training and development of all employees and will ensure compliance with the Employment Equality Acts 1988 - 2015.

4.5.2 Policies and Procedures

Each employee will be provided with a written contract of employment setting out a probationary period of six months. It shall be ensured that all employee contracts comply with the Terms of Employment (Information) Acts 1994 to 2014 and the Employment (Miscellaneous Provisions) Act 2018. Each employee will also receive the employee handbook which will contain all the core policies and procedures for the firm.

A full list of all firm policies is set out in Appendix 4. - KL COME BACK TO

ELHQ is committed to ensuring the policies and procedures remain adaptable and accessible at all times and reserves the right to amend the provisions of these policies and procedures as required. This is especially important in light of the impact of COVID-19. Our Human Resources department will strive for fast communication and ensure the business has the ability to communicate to all staff if any policy changes are needed at short notice. Our firm employee handbook as well as all training and process manuals will be centrally located on our intranet and appropriate training on these will be provided.

4.5.3 Disciplinary Procedure

ELHQ will ensure implementation of its written Disciplinary and Grievances Policy, ensuring fair procedures are followed at all times. Kieran Lardner will act as the Complaints Officer and will ensure implementation of the Disciplinary and Grievances Policy within the firm. His/her role will include the investigation of and response to all employee complaints.

4.5.4 Training

Training will be the ultimate responsibility of the Human Resources Manager. S/he will ensure that all employees receive training in matters related to the carrying out of their specific functions within the firm. Employee training will take place upon induction and at regular intervals throughout the course of their employment. There will be a focus on training for remote working software to ensure all employees have the ability to utilise the firm’s telecommuting options. ELHQ will also ensure that the CPD plan, as outlined at paragraph 5.8, is carried out. We have allocated €2,500 for all training including CPD expenses per annum.

4.5.5 Hours of Work

Working hours will generally be 9 am – 5.30 pm, Monday to Friday. However, employees may be required to work outside of these hours from time to time. This will be clearly set out in our employee contracts. In line with ELHQ’s flexible working policy, we will encourage our staff to use flexible working arrangements to achieve a better balance between work and other priorities. ELHQ is committed to agreeing any flexible working arrangements and to promoting an inclusive working environment. These arrangement include our flexitime and telecommuting arrangements as set out in the Flexible Working Policy.

4.5.6 Leave

Permanent employees will be entitled to 21 days annual leave. With regard to sickness, any absences in excess of three days must be certified and management reserves the right to request an independent medical examination. Full details of our sick leave arrangements are set out in our Sickness and Absence Policy.The availability of all other types of paid and unpaid leave of absence from work, including maternity leave, adoption leave and parental leave are set out in our Leave Policy.

4.5.7 Health, Safety and Welfare

ELHQ understands the importance of the duty it has to maintain the health, safety and welfare of it’s employees. ELHQ recognises, in particular in light of COVID-19 that this is a dynamic obligation and will ensure compliance with the Health, Safety and Welfare at Work Act 2005 as well as any guidance issued by the HSE and Department of Health. ELHQ will ensure that [Office Address] maintains an up-to-date Health and Safety Risk Assessment.

Kieran Lardner will act as the Health and Safety Officer and Office Manager for ELHQ. Kieran Lardner holds a certificate in occupational health and safety and is fully trained in CPR and AED.

ELHQ is committed to the welfare of its employees, both physical and mental. We plan to promote the wellbeing of our employees by hosting an annual ‘ELHQ Health and Wellbeing Week’ in which we will raise awareness of the firm’s Prevention and Management of Work Related Stress Policy’. Employees will have the opportunity to avail of a number of firm supports such as our the ‘Bike to Work Scheme’ which will be particularly important for workers in the current climate. We have also partnered with Iveagh Fitness Club in Dublin 8 to provide a 30% gym membership discount to all employees. These will be available following completion of an employee’s probationary period. In addition we have allocated €1,500 toward social activities throughout the year such as the firm Christmas party and other team building activities.

4.5.8 Pay and Benefits

Employees will be paid monthly and all pay slips will be issued electronically. Partners will commence with a salary of €35,000 to be reviewed after Year 1. Employees will also have the opportunity to join ELHQ’s contributory health insurance scheme upon completion of their probationary period.

5 Professional Management & Conduct

5.1 Establishing the Firm

Prior to commencing practice, each Partner will be required to submit a Commencement in Practice Form to the Law Society of Ireland (the “Law Society”). This form will set out all relevant details of the Partners’ backgrounds and experience, together with details of the Firm’s professional indemnity insurance and adherence to the Solicitors Accounts Regulations 2014.

Pursuant to Regulation 4 of SI No. 178 of 1996 of the Solicitors (Practice, Conduct and Discipline) Regulations 1996, a firm’s name shall consist only of the names, or some of the names, of the solicitors of the firm, and if the firm wishes to adopt a name which takes a different form it must seek approval in writing from the Law Society. While the proposed name of the Firm (‘ELHQ Solicitors’) represents a combination of the initials of each of the Partners of the Firm, Law Society approval will still be required. The Partners will ensure written approval is in place before commencing practice, and will use an alternative name if necessary, consisting of the names of two partners – “Hynes Lardner Solicitors”.

The Partners will also provide the Law Society with a copy of the Firm’s letterhead, details of its financial year, details of Partners’ change of firm, and any other information required. The Partners are aware of their obligations and responsibilities under the Solicitors Accounts Regulations 2014 also, and will be employing a bookkeeper to ensure these standards are met at all times.

Following Law Society approval, the Partners will register the business name with the CRO pursuant to the Register of Names Act 1963 (as amended).

5.2 Compliance Manager

The Firm is committed to upholding the highest moral, ethical and professional standards in carrying out its business. Our core values of Innovation, Partnership, Entrepreneurship, Respect and Diversity will guide the Firm as it grows.

The Partners have agreed that Samuel Elliott will be the Firm’s initial designated Compliance Officer. In this role he will take responsibility for ensuring the compliance of all Partners and staff with all Law Society regulatory requirements and professional standards, and all relevant national, European and international laws. He will also seek to ensure the Firm remains aligned with its core values at all times.

5.3 Practising Certificates

Every solicitor is under an obligation to hold a practising certificate before providing any kind of legal advice or service. The Partners are aware that to offer services without a valid practising certificate will amount to professional misconduct and potential criminal liability. It is therefore essential that the Firm ensures each of the Partners has a valid and up-to-date practising certificate at all times.

With this in mind, the Compliance Officer will provide each Partner with the practising certificate renewal form in advance of the submission deadline of 1 February each year. It will be each Partner’s responsibility to ensure that his form is submitted properly and on time. Each Partner currently holds a valid practising certificate up to 31 December 2021.

The estimated fees for each practising certificate currently stand at €2070 per partner. The estimated total practising certificate fees for the Firm for the

5.4 Professional Indemnity Insurance

Pursuant to the Solicitors Professional Indemnity Insurance Regulations 2018, all solicitors must have professional indemnity insurance (“PII”) cover in place before practising certificates will be granted by the Law Society. At present, the minimum level of PII cover that must be in place is at least €1.5 million for each claim.

After consultations with a number of local brokers, the Partners secured PII cover from Big Star Insurance Ltd, for an initial annual premium of €12,000, with a self-insured excess of €13,000. The premium will be paid and the cover in place prior to commencement of business.

5.5 Anti-Money Laundering

The Partners are aware of the Firm’s responsibilities under the Criminal Justice (Money Laundering and Terrorist Financing) Acts 2010 to 2018 (as amended) (the “AML Acts”).

The Firm has put in place an AML Policy, which details the stringent client due diligence processes which will be followed by the Firm in respect of all clients prior to commencing work. The Firm will only accept client instructions where it is satisfied by the information obtained, and the Partners are committed to taking any action necessary if information comes to light which gives rise to suspicion.

All relevant AML records will be kept securely, and compliance will be continually reviewed and overseen by the Compliance Officer.

5.6 GDPR

Given the sensitivity of the data that will be held by the Firm, it will have various obligations under GDPR as a Data Controller. The Partners have therefore put in place a Data Protection Policy, and have agreed that as part of his role as Compliance Officer, Samuel Elliott will also ensure the Firm complies at all times with its data protection obligations. The partners will notify any breaches to the Data Commissioner without delay.

5.7 Undertakings

The Partners have agreed that no undertakings will be given by an individual Partner on behalf of the Firm without the prior approval of the Managing Partner, Eddie Hynes, and the Compliance Officer, Samuel Elliott. All undertakings given will be recorded on the register of undertakings maintained by the Firm. The Partners are conscious of the gravity of any failure to comply with an undertaking, and will review the register regularly.

5.8 Continuing Professional Development

Pursuant to Regulation 4 of the Solicitors (Continuing Professional Development) Regulations 2017 (the “CPD Regulations”), there is an obligation on all practicing solicitors to undertake a minimum of 20 hours CPD each year. This must include at least 3 hours on management and professional development skills, and 2 hours on regulatory matters.

As Compliance Officer, Samuel Elliott will keep the Partners informed of upcoming seminars, conferences, Law Society courses and other CPD opportunities. Each Partner will have responsibility for keeping track of his own outstanding hours, and keeping a record of CPD undertaken. CPD costs have been considered and included in the Firm’s cash flow projections.

While much of the training can be undertaken online, the Partners hope to attend events in person when possible following the rollback of Covid-19 restrictions. As well as being a CPD learning opportunity, such events will allow the Partners to network with other legal professionals and will help the firm grow and stay abreast of developments in the sector.

In addition, the Firm intends to host a number of live-streamed talks on corporate and M&A law. These will be made available via an online portal and will serve the dual purpose of raising the Firm’s public profile online, and providing CPD hours for the Partners.

5.9 [Vendor Firm’ Files]

The Partners at ELHQ have decided [to / not to] purchase the files of Rhyme & Partners.

[Rationale for decision]

A detailed review of each of the files is set out in Appendix 3.

6 Finances

6.1 Overview

Following extensive consultations with accountants and financial advisers specialising in the legal industry, the Partners have agreed on the following financial projections for the first 24 months of trading. Year 1 will run from 1 February 2021 to 31 January 2022, and Year 2 will run from 1 February 2022 to 31 January 2023.

In light of the ongoing global economic volatility caused by COVID-19 pandemic, and considering the many uncertainties in establishing a new business, the Partners have prepared the financial projections on a conservative basis. The Partners are collectively committed to keeping expenditure to minimum for the first two years of trading, and until profit levels have stabilised. The Partners have agreed also to hold a monthly meeting to assess the financial performance of the firm and address any emerging issues.

In line with current trends for corporate law firms, clients will generally be billed on a monthly basis, except where agreed otherwise. This should help to regularize income for the Firm during the first few years of its existence.

Full cash flow projections are set out in Appendix 5, and the main items are discussed below.

6.2 Cash Flow Projections

6.3 Incomings

6.3.1 Funding

The Firm’s initial funding will be comprised of capital contributions from the Partners supplemented with external financing. The Partners chose Big Bank plc as Firm’s proposed bank due to its competitive lending rates and wide range of supports for start-ups and SMEs.

6.3.1.1 Capital Contributions

The Partners have agreed to contribute €30,000 each to the Firm, amounting to €120,000 in total. Each Partner will take a 25% stake in the firm. The contributions will be funded entirely from the personal savings of each Partner.

6.3.1.2 Debt

To ensure sufficient funds are available to meet all start-up costs, and to ensure a healthy level of working capital can be maintained throughout the first year of trading, a term loan of €40,000 has been agreed with Big Bank plc. The loan is repayable over 3 years, at a fixed rate of 6.95%. Monthly instalments are set at €1200. The loan is unsecured.

In addition, to protect against any unforeseen cash flow shortfalls, Big Bank plc has agreed to provide an overdraft facility to the Firm, up to an amount of €15,000. An interest rate of 8% will apply to any sums borrowed under this facility. It is not intended that this facility will be utilised; however, the Partners believe it is prudent to have such funds available for contingencies.

6.3.2 Fee Income

The Partners anticipate a total fee income of €298,340 in Year 1.

Fees will be based on an initial hourly rate of €250. This is a highly competitive rate for solicitors operating in this sector of the Irish legal market, with a similar level of expertise and experience. The first invoices will issue in the opening month of trading, and first payments are expected in the second month.

Operating at full capacity, billing 7 hours each per business day, this hourly rate results in monthly revenue per partner of €35,000. The Partners expect that the firm can achieve 15% capacity in its first month of trading (equating to fee income of €5250 per partner), with fee income increasing by 5% per month thereafter for the first two years of trading. This estimate is made on a conservative basis – nonetheless, this level of income will be sufficient to result in a positive net cash flow for the first two years, with the support of the capital contributions and loan facilities in place.

It is expected that total fee income will grow to €571,668 in Year 2.

The Partners will closely monitor firm performance and market conditions at the monthly financial meetings, and will consider changes to the hourly rates if deemed necessary.

6.4 Outgoings

6.4.1 Capital Expenditure

The Partners have obtained quotes for all furnishings, IT systems and other items necessary to establish its office at 1 Percy Place, Dublin 2, Dublin. This includes legal and office software, IT equipment for the four partners and two secretaries, and sufficient office furniture for staff and clients.

These start up-costs are anticipated to total €18,450, and are more particularly set out in the full Cash Flow Projections at Appendix 5.

6.4.2 Current Expenditure

6.4.2.1 Drawings

The Partners have agreed to take drawings of €60,000 each for Year 1, increasing to €84,000 in Year 2. This will be payable monthly.

This level of drawings is sustainable within the conservative cash flow projections as set out at Appendix 5, and will maintain a positive net cash flow. However, firm performance and market conditions will be closely monitored and drawings may be reduced at any time if required.

6.4.2.2 Salaries

The Partners intend to hire two staff members to carry out secretarial and bookkeeping duties. The successful applicants will be offered a starting salary of €27,000 per annum.

6.4.2.3 Tax

The Firm will be make all required filings and payments for (i) PAYE and PRSI, in respect of its employees, and; (ii) VAT, in respect of all professional services provided to clients.

As the Partners are self-employed, they will be required to file income tax returns and pay income tax under the self-assessment system. Each Partner has agreed to attend to his own filing requirements with the Revenue Commissioners.

6.4.2.4 Insurance

The Partners have obtained quotes for the following insurance policies from its insurer, the premiums for which amount to €20,900 annually:

  • Professional Indemnity Insurance
  • Public Liability Insurance
  • Employers’ Liability Insurance
  • Partnership Insurance

6.4.2.5 Rent and Miscellaneous Expenses

The Partners have entered into a five-year term lease of premises at 1 Percy Place, Dublin 2, Dublin . The rent payable is €3250 per month. The Partners have received quotes for electricity, broadband, waste collection and other office maintenance costs.

In addition, the Partners have budgeted for various other items necessary for the functioning and expansion of the Firm, including marketing, client entertainment, charitable donations and practicing certificates. All such items are included within the full cash flow projections at Appendix 5.

6.5 Summary

7 Marketing

7.1 Overview

Our goal is to establish ELHQ Solicitors as a dynamic, and innovative law firm that provides an expert legal service for our clients.

At ELHQ Solicitors, we want to market ourselves as a firm that is capable of adapting quickly to the ever changing legal landscape – this is in particular focus given the impact of COVID – 19 on both the legal industry and the wider global economy.

The Partners have adapted to work life during the COVID-19 crisis, and recognize the importance of facilitating the ability to work remotely. Further, the Partners at ELHQ Solicitors have seen opportunities that can be maximised through flexibility, innovation and adaptability.

7.2 Target Market

ELHQ Solicitors’ target market is public & private corporations as well as various commercial bodies. The Partners are placing a particular emphasis on targeting SMEs and start up companies in order to break into the market before expanding the business to target larger corporations. Given the current period of economic recovery following the COVID-19 crisis, the Partners believe that this broad focus allows for flexibility and growth in uncertain times.

7.3 Marketing Plan

ELHQ Solicitors has considered how it will employ it’s various marketing techniques below, and has conducted a SWOT analysis, a copy of which is provided at Appendix 2

7.3.1 Product

ELHQ Solicitors will adhere to provide a legal service of the highest standard for all of our clients. We intend on working for and with like minded clients who approach business in a practical, pragmatic and commercial fashion. Our primary areas of expertise include, but are not limited to, Commercial Litigation and Dispute Resolution, Mergers and Acquisitions, Finance, Intellectual Property and Commercial Property.

7.3.3 Office Location

The office of ELHQ Solicitors will be located at 1 Percy Place, High Street, Dublin 2, Dublin. After careful consideration the Partners chose this location for three primary reasons.

Firstly, the Partners felt that by situating the office in Dublin City centre, the Firm would be best placed to serve our commercial and corporate clients given that Dublin is something of a hub for ambitious, growing businesses from a national and international standpoint.

Secondly, the standard of living in Dublin is slightly higher than in other parts of the country and the city as a whole is vibrant and energetic. This factor combined with the access to several highly respected Third Level Institutions near the city centre will ensure that the office will be well placed to attract and retain the highest quality of legal talent in order to aid the continued growth and success of the Firm.

Thirdly, all four Partners have worked in Dublin in a legal capacity for an extended period and each Partner has established important business relationships with potential future clients through this previously completed work. It will be important for these business relationships to be maintained and improved upon so that ELHQ Solicitors will be successful.

7.3.4 Price

As ELHQ Solicitors is a newly established firm we intend to be highly competitive in respect of the fees that we charge.However, of utmost importance to the Partners is to provide an exceptional service and in this regard to provide value for money. As a firm, ELHQ will be responsive and provide practical, commercial assistance in order to reach the heart of any particular legal issue or query quickly.

7.3.5 Promotion

7.3.5.1 Online Presence

ELHQ Solicitorswill have an active online presence, focusing on engagement with the target audience.

7.3.5.1.1 Website

ELHQ.ie will be acquired. The Firm’s website will be designed in such a way that it is easy to navigate as well as being informative. Information will be provided about each of the practice areas as well as about each of the Partners, and contact details for each individual Partner will be provided.The website will have an ‘Updates’ section with regular articles on topical legal issues. The Partners commit to producing at least two articles per month which will be shared across all social media platforms.There will also be an option to subscribe for updates, with monthly newsletters and updates sent out to those who register.

7.3.5.1.2 Social Media

ELHQ Solicitors will have a strong presence across all social media platforms, including LinkedIn, Facebook, Instagram and Twitter,  which will be used to build the brand and to share relevant content. The Partners have their own LinkedIn accounts which will be used both to make useful connections and to create a strong online presence for the Firm.

7.3.5.1.3 Podcast - LawPod

ELHQ Solicitors will host a monthly podcast discussing relevant topical legal and commercial issues. Guest speakers will be invited, which can include clients and experts in the particular area, to provide a more practical discussion on implications of relevant legal updates to the legal and commercial industry. It is hoped that the listeners gained from the podcast will increase awareness of ELHQ Solicitors’ work. 

Eddie Hynes, Managing Partner, has a contact who has agreed to set up the website and podcast hosting platforms for €1,500 at a once off costXXX.

7.3.5.2 Advertising

Through social media platforms and the Firm’s website the intention is to levy as much free advertising online insofar as is possible but this will be supplemented with various other means of advertising. The advertisements for ELHQ Solicitors will adhere strictly to the Solicitors (Advertising) Regulations 2002 and will include the contact details, areas of expertise and logo of the firm. It is envisioned that such advertisements will be placed in the Law Society Gazette, the Sunday Business Post and the business supplement of the Irish Times. As a large part of the target audience for the Firm are start-up companies and SMEs, the Firm will also make contact with organisations such as “NewCo Ireland” to potentially provide sponsorship at conventions and seminars.

7.3.5.3 Sponsorship and Corproate Social Responsibility

ELHQ is keen to integrate in the community in Dublin City centre and to increase local awareness of its business. The Partners are passionate about the Firm’s CSR and hope to develop the Firm’s reputation as one which gives back to the community that it is based. The Partners have agreed to participate in a variety of charitable events in this respect including:

  • Entering a soccer team in the annual five-a-side tournament in Blackhall Place to raise funds for “The Irish Youth Foundation” in support of disadvantaged youths in Ireland.

  • Each Partner to participate in the annual “Calcutta Run”, the annual legal fundraiser and to raise funds accordingly.

  • Provide work experience opportunities for Transition Year students who are schooled in the local area.

  • Converse with several of the Third Level Institutions in Dublin and seek to provide an annual scholarship for a law student that has obtained the highest quality average grade, based on their First Year college studies.

  • ELHQ Solicitors has allocated a budget of €17,500 for sponsorship in Year 1.

7.3.5.4 CPD and Lecturing

ELHQ Solicitors will host monthly CPD conferences on topical legal issues. Clients and contacts will be invited, and at each CPD meeting, lunch and sandwiches will be provided. These will usually be by way of either a Partner or an expert guest speaker delivering the lecture,with an emphasis on practical and commercial solutions. The Partners will also lecture in Law Society PPC and Diploma courses in their area of expertise.

7.3.5.5 Initial Launch Night

To boost awareness around the establishment of ELHQ Solicitors a launch night will be arranged within two months of the Firm opening its doors. It is envisaged that Mount Ivy Hotel near the Firm’s office will be booked whereby a canapés and drinks reception will be held. This of course will be pending the easing of Covid-19 restrictions. All existing clients of the Partners, any potential clients of the Firm, local businesses and companies will be invited to attend, along with faculty heads from several nearby Third Level Institutions. The event will be promoted primarily through the Firm’s social media platforms and website.

8 Appendices

8.1 Appendix 1 | Partnership Agreement

8.2 Appendix 2 | SWOT Analysis

8.3 Appendix 3 | Review of Fish & Company Files

8.3.1 File 1 | Nemo Homes Limited

We have elected not to purchase this file. We are a firm focused on the commercial sector, with four partners specializing in this area. None of our staff have experience in conveyancing such that we can ensure the “delivery of legal services in a competent manner” in accordance with Clause 9.1 of the Law Society of Ireland’s “A Guide to Good Professional Conduct for Solicitors”. In addition, by handing a matter which our firm is not qualified to handle, we would potentially be in breach of Clause 3.1.1 of the CCBE Code of Conduct for European Lawyers requiring solicitors “not handle a matter which the lawyer knows or ought to know he or she is not competent to handle, without cooperating with a lawyer who is competent to handle it”.

8.3.2 File 2 | Delia Cuttle

We have elected not to purchase this file. As above, we are a firm focused on the commercial sector, with four partners specializing in this area. We have limited experience handling disputes relating to personal injury claims, and would not be able to guarantee the delivery of legal services in a competent matter in this respect. This would potentially breach Clause 9.1 of the Law Society of Ireland’s “A Guide to Good Professional Conduct for Solicitors” and Clause 3.1.1 of the CCBE Code of Conduct for European Lawyers.

8.3.3 File 3 | Abayomi “Dory” Bamgbala

We have elected not to purchase this file. As above, we are a firm focused on the commercial sector, with four partners specializing in this area. We have limited experience handling asylum claims and appeals, and would not be able to guarantee the delivery of legal services in a competent matter in this respect. This would potentially breach Clause 9.1 of the Law Society of Ireland’s “A Guide to Good Professional Conduct for Solicitors” and Clause 3.1.1 of the CCBE Code of Conduct for European Lawyers.

8.3.4 File 4 | Molly Fish

We have elected not to purchase this file. Several issues arise at the outset, even with very limited information this file is one which the firm would seek to avoid. From a brief review of the file, the issues which arise are as follows. It is unclear whether the will has been drafted by Mr. Fish, the Firm’s principal. According to the Guide to Good Professional Conduct for Solicitors, when a client intends to bequest a gift under his or her will to the solicitor drafting the will, the solicitor should refuse to act and advise the client to seek independent legal advice. There are further notable aspects to this file such as the fact that it appears as though the will was drafted with the intention of the will being an emergency will. Insofar as Ms. Fish indicated that she wanted to come back once she had learnt more suggests that this will was drafted in rushed circumstances and that her will was not created while being fully informed. Even with these red flags aside, as previously stated, we are a firm focused on the commercial sector, with four partners specializing in this area. The Partners have no intention to deal with probate matters. ELHQ will not be taking on this file.

8.3.5 File 5 | Peadar and Jane Finn

The Partners of ELHQ have elected not to purchase this file. An analysis of the file highlight several issues which make the file unattractive for the Firm. The matter seems quite urgent as the Bank’s motion papers are returnable before the Master in two weeks. This fact alone would put ELHQ under pressure and would compensate the Firm’s ability to provide a legal service to the standard that the firm is seeking to adhere to. Furthermore, the Bank are seeking a sum of approximately €91,000. This suggests that the Clients may be in financial difficulty and therefore it might prove difficult to recover fees in this matter. Due to the significant urgency and the potential difficulty in recovering fees on this file, the Partners have deemed this file too risky to take on. ELHQ will not be purchasing this file.

8.3.6 File 6 | Peadar and Jane Finn

Significant ethical issues arise in this matter and therefore the Partners of ELHQ have elected not to purchase this file. These are the same clients from File 5 above and it would appear that there is an attempt to make an illegitimate property transfer. It is a property transfer by the Clients to the Irish version of the maiden name of the wife. Although this is only speculation, it would appear that the Clients are attempting to place their assets out of the reach of their Creditors (the Bank) and this would be viewed as a fraudulent transaction. As per section 6.1 of the Law Society’s Guide to Professional Conduct for Solicitors, Solicitors should not act where their conduct would be viewed as fraudulent, deceitful or contrary to their position as a solicitor and an officer of the court. Due to the ethical issues outlined above, ELHQ will not be purchasing this file.

8.3.7 File 7 | Angel Promotions Ltd.

We have elected not to purchase this file. There is a prohibition on solicitors providing to unqualified persons rewards for introductions in respect of legal business. This prohibition is set out under Section 62 of the Solicitors Act 1954, and any such agreements in contravention of this provision will be void. In addition, there are notable concerns in providing monies for referrals in respect of solicitors’ obligations to remain independent and to avoid situations of conflict, as outlined in the Rules of Professional Conduct within the third edition of the Law Society’s guide to Good Professional Conduct for Solicitors.

8.3.8 File 8 | Discus Trading B.V

We have elected not to purchase this file. The aforementioned issues in respect of file 7 apply here, and in addition there are a number of issues inherent with the file itself in respect of CDD and AML requirements on solicitors.

From the outset, the entity appears to be a Dutch “besloten vennootschap”, but is based in Belize (a high risk jurisdiction per the US Dept of State Money Laundering assessment) and operates in the middle east (which appears to generally have a high level of risk in respect of financial crime, according to a 2020 report by riskscreen.com). In addition, the client has indicated that it intends to operate as a charity in Ireland, and has a significant amount of funding readily available to procure legal services.

The 2019 IBA Report “A Lawyer’s Guide to Detecting and Preventing Money Laundering” provides a list of a number of red flags that might indicate money laundering. These include operating with opaque structures (eg, a Dutch BV operating in Belize), operating from high risk jurisdictions (eg, Belize and the Middle East), operating as a charity, and consulting lawyers who do not have the requisite expertise to carry out work.

ELHQ Solicitors are obligated to carry out both a Business Risk Assessment and a Customer Risk Assessment when onboarding new clients per Section 10 of the Criminal Justice (Money Laundering and Terrorist Financing) (Amendment) Act 2018, which amends the Criminal Justice (Money Laundering and Terrorist Financing Act 2010 (“2010 Act”). The 2010 Act as amended by the Criminal Justice (Money Laundering and Terrorist Financing) (Amendment) Act 2021 sets out further prescribed enhanced CDD obligations where an entity is established or resides in a high-risk third country. Given the relatively small size of the firm, and given the lack of a dedicated AML / Compliance function in ELHQ Solicitors at time of formation, the partners have decided that it would be prudent to avoid taking on files with high risk clients until such a time as the business can fully meet its AML requirements without expending a significant time and money to ensure compliance.

8.3.9 File 9 | Jack and Deirdre Pollock pp Ava Pollock

We have elected not to purchase this file.

This file involves a personal injury case for both an adult and a minor. In addition to being a minor, the minor is in a vulnerable position as she has moderate Aspergers Syndrome. Due to this, the parents do not want the child to be interviewed. This could pose difficulty, as her testimony would be important to the outcome of the case.

The Pollocks have received an offer of €750 from the driver. Furthermore, the driver may not have been insured.

The complications outlined above, combined with the fact that no section 150 notice is on file, has resulted in ELHQ deciding not to purchase this file.

8.3.10 File 10 | Scales Import and Export plc

We have elected not to purchase this file.

Significant work has been done to date. However, the Section 150 notice that has been issued did not account for the fact that a key-expert witness is expecting exorbitant fees - €5,000 per day’s attendance, expenses and a flat fee in the region of €250,000 if the client wins. Although the action being brought could result in an award worth “in the region of several million euro”, the issues with the other files of Fish & Co outweigh the potential benefits of this file. (KL - Flesh out )

8.4 Appendix 4 | Company Policies

8.5 Appendix 5 | Cash Flow Projections

9 To do

  1. Executive Summary
  • Details of any files purchased from Fish & Co.
  1. Mission Statement
  • Paragraph on Vendor Firm
  1. Marketing
  • Appendix Details for SWOT analysis
  1. HR
  • Firm policies add in? - KGPL
  1. Appendices

  • Cash flow projections, to be inserted

  • Add appendices in - Kieran - Format partnership agreement? or add as PDF?

  1. General
  • Check if cash flow needs to be updated in light of new figures added in today -
  1. Clean-up etc

  • Important - Add in Eddie Marketing/Premises/Files updates + Sam Files updates. Finish HR sections. Do files 9-10. - Kieran

  • Finish up charts - Kieran

  • Add in Photos for Partner Profiles - Kieran. - Still need to add in Conor + Me

  • Clean up formatting etc - Kieran

  • Change any square brackets - Kieran

  • Add in cross-references or amend the references - Kieran - Have started adding them in. Will finish the rest

  • See if you can get doc width fixed - Kieran

  • IMPORTANT - Check word-count of HTML version - Kieran

  1. Questions for Group

  • Everyone happy with layout? Any comments on the readability etc?

  • Do I need to add in a chart or headings about who did each section etc? I’m happy to leave it but if people want it added in I can do one up.

  • Management plan section covered/finished?